Statute Details
- Title: COVID-19 (Temporary Measures) (Transfer of Benefit of Property Tax Remission) Regulations 2020
- Act Code: COVID19TMA2020-S375-2020
- Legislation Type: Subsidiary Legislation (SL)
- Authorising Act: COVID-19 (Temporary Measures) Act 2020 (Act 14 of 2020), section 32
- Citation: SL 375/2020
- Commencement: 13 May 2020
- Status: Current version as at 27 Mar 2026
- Key Parts: Part 1 (General); Part 2 (Prescribed remissions and tenants); Part 3 (Prescribed amount of benefit for passing on); Part 4 (Prescribed manner and time for passing on); Part 5 (Miscellaneous)
- Key Sections (from extract): Section 1 (Citation and commencement); Section 2 (Definitions); Sections 3–4 (prescribed remissions/tenants); Sections 5–9 (amount of benefit to be passed on); Sections 10–11B (manner and time); Sections 12–14 (information, exemption, recovery)
- Primary Administrative Bodies: Inland Revenue Authority of Singapore (IRAS); Comptroller of Property Tax
What Is This Legislation About?
The COVID-19 (Temporary Measures) (Transfer of Benefit of Property Tax Remission) Regulations 2020 (“Property Tax Transfer Regulations”) set out a legal mechanism to ensure that when the Government grants property tax remissions to property owners under the COVID-19 (Temporary Measures) framework, the corresponding “benefit” is passed on to qualifying tenants through rent reductions (and related charges). In plain terms, the Regulations prevent owners from receiving a tax relief without sharing the economic value with tenants who are affected by the pandemic.
The Regulations operate alongside the COVID-19 (Temporary Measures) Act 2020 and the related Rental and Related Measures Regulations. They define what counts as the “benefit” of property tax remission, which remissions are relevant, which tenants are within scope, and how much of the benefit must be transferred. They also specify the timing and manner of passing on the benefit, plus compliance duties and recovery consequences if an owner fails to do so.
Although enacted as a temporary COVID-19 measure, the Regulations are drafted with detailed quantification rules and procedural triggers (including “crystallisation date” concepts) to align property tax relief with rental relief outcomes. For practitioners, the key legal question is not whether the Government grants remission, but whether and how the owner must translate that remission into tenant-facing relief, and what happens if the owner does not.
What Are the Key Provisions?
1. Definitions and the “benefit” concept (Section 2). The Regulations’ operative framework begins with definitions. “Benefit”, in relation to any property, means the reduction in property tax on the property under one or more prescribed remissions relating to the property. The Regulations also define “rental relief” and “additional rental relief” by reference to the COVID-19 Act’s provisions on rental waivers. This matters because the passing-on obligation is designed to mirror the rental relief regime: the owner’s tax savings should translate into tenant rent reductions.
Section 2 also defines key administrative and factual anchors. For example, “Authority” refers to IRAS, and “Comptroller” refers to the Comptroller of Property Tax under the Property Tax Act. The “crystallisation date” is particularly important: it is the day after the last day on which a section 19M application may be made for the property, or (where a section 19M application is made) the day after the owner is informed of the rental relief assessor’s determination or served with the determination under the Rental Relief Regulations. In practice, this date helps determine the point at which the quantum of rental relief and property tax benefit is treated as fixed for passing-on calculations.
2. Prescribed remissions and prescribed tenants (Sections 3 and 4). The Regulations do not apply to all property tax remissions in general; they apply only to “prescribed remissions” (Section 3) and to “tenants” who are “prescribed” under Section 4. The extract indicates that the Regulations are linked to the COVID-19 Act’s property tax remission provisions (including references to section 19B and section 19M). For practitioners, this means the scope is controlled: you must identify (i) whether the property is a “prescribed property” and (ii) whether the tenant qualifies as a “tenant” under the Regulations (which is tied to the definitions of “specified lessee” and “specified licensee”).
3. Quantifying the amount of benefit to be passed on (Sections 5–9). The core compliance obligation is quantitative: owners must pass on a prescribed amount of the property tax remission benefit to tenants. The Regulations set out multiple scenarios.
Section 5 provides the general rule for the prescribed amount of benefit for passing on. Sections 6 and 7 then address different property leasing structures: (i) whole property leased or licensed to a single tenant (Section 6), and (ii) part of the property leased or licensed to a tenant (Section 7). These provisions are supplemented by deduction rules in Sections 6A, 6B, 7A, and 7B, which adjust the base amounts to reflect specific circumstances (for example, where certain components should be excluded from the passing-on calculation).
Section 8 addresses a special scenario: the portion of benefit for a specified lessee or specified licensee that left before 3 April 2020. This is a temporal carve-out that prevents owners from being required to pass on benefits to tenants who were no longer in occupation before the relevant date. Section 9 addresses increases in rebate amount resulting from change in circumstances, ensuring that subsequent adjustments to the property tax remission are also reflected in the passing-on obligation.
4. Manner and time for passing on; deemed passing-on (Sections 10–11B). Even if the owner calculates the correct amount, compliance can fail if the owner does not pass it on in the required manner and within the required time. Section 10 prescribes the manner of passing on—i.e., how the owner must give effect to the tenant-facing relief (typically through rent reductions or related adjustments consistent with the rental relief framework).
Section 11 prescribes the time for passing on. The Regulations also include additional timing rules where a “notice of cash grant” is served or where a request is made for notice of cash grant (Section 11A). This reflects the administrative reality that property tax remission may be processed through IRAS notices and that owners may need to align their tenant communications and adjustments with those notices.
Section 11B provides “circumstances under which part or whole of benefit is treated as having been passed on”. This is a risk-management provision: it can protect owners where they have already implemented relief in a manner that the Regulations deem sufficient, even if the exact mechanics differ from a strict reading of the default approach. For practitioners, this section is often where disputes turn—whether the owner’s actions satisfy the statutory deeming conditions.
5. Compliance duties and enforcement consequences (Sections 12–14). Section 12 requires information to be provided by the owner to the tenant. This is essential for transparency and for tenants to verify that the correct amount has been passed on. Section 13 provides an exemption—meaning there are circumstances where the passing-on obligation may not apply or may be relieved. Finally, Section 14 deals with recovery: it provides for recovery of the amount paid (or, in effect, amounts that should have been passed on) by the owner of the property. This is the enforcement backbone: if the owner fails to pass on the benefit, the State may seek recovery, and the Regulations provide the legal pathway to do so.
How Is This Legislation Structured?
The Regulations are organised into five Parts.
Part 1 (General) contains the citation, commencement, and definitions (Sections 1–2). This Part establishes the key terms used throughout the Regulations, including “benefit”, “rental relief”, “crystallisation date”, and the relevant administrative bodies.
Part 2 (Prescribed remissions and tenants) sets the scope: it identifies which property tax remissions are “prescribed” (Section 3) and which tenants are “prescribed” for the passing-on obligation (Section 4). This Part is the gateway for determining whether the Regulations apply to a given property and tenant relationship.
Part 3 (Prescribed amount of benefit for passing on) provides the calculation framework (Sections 5–9). It includes general rules and special rules for whole-property versus part-property leasing/licensing, deductions, tenants who left before a specified date, and increases due to changed circumstances.
Part 4 (Prescribed manner of and time for passing on) addresses implementation (Sections 10–11B). It specifies how owners must pass on the benefit, when they must do so, and when the law deems the passing-on obligation satisfied.
Part 5 (Miscellaneous) includes operational and enforcement provisions (Sections 12–14), including information duties, exemptions, and recovery of amounts.
Who Does This Legislation Apply To?
The Regulations apply to owners of “prescribed property” who receive property tax remission under the COVID-19 (Temporary Measures) framework, and to tenants who fall within the Regulations’ definition of “prescribed lessees and licensees”. In practical terms, the owner must identify whether the tenant is a “specified lessee” or “specified licensee” and whether the lease/licence is for a purpose other than accommodation.
The Regulations also exclude certain categories from “specified licensee” status (for example, invitees or casual visitors, and persons carrying out employment or providing services at the property). This means the passing-on obligation is not triggered for every person paying money connected to the property; it is limited to the defined tenant relationships.
Because the Regulations tie the passing-on obligation to the crystallisation date and to notices issued by IRAS (including “notice of cash grant”), applicability is also procedural: the owner’s duty is linked to the administrative determination and the timing of notices and assessor determinations under the broader COVID-19 rental relief scheme.
Why Is This Legislation Important?
For practitioners, the Regulations are important because they create a statutory, quantifiable duty for property owners to share the value of property tax remissions with qualifying tenants. This is not merely a policy expectation; it is a legally enforceable obligation with defined calculation rules, timing requirements, and recovery consequences.
The Regulations also reduce uncertainty by providing a structured approach to quantification (Sections 5–9) and by linking key dates to the crystallisation mechanism. In disputes, parties often argue about what amount should be passed on and when it should have been passed on. The Regulations’ detailed framework is designed to make those questions answerable by reference to the statutory formulae and procedural triggers.
Finally, the information and recovery provisions (Sections 12–14) create practical leverage for tenants and compliance pressure for owners. Tenants can request and rely on the information the owner must provide, while the State can pursue recovery where the owner fails to pass on the benefit. For legal advisers, this means transaction documents (leases, licences, rent adjustment clauses) and compliance workflows (tenant notices, rent ledgers, IRAS correspondence) should be reviewed against the statutory requirements.
Related Legislation
- COVID-19 (Temporary Measures) Act 2020 (Act 14 of 2020) — including sections on property tax remission and the rental relief framework (notably sections referenced in the Regulations such as section 19B, 19F, 19H, 19J, 19M, and section 32 as the authorising provision).
- Property Tax Act (Cap. 254) — including provisions on the Comptroller of Property Tax and the meaning of “owner”.
- Inland Revenue Authority of Singapore Act (Cap. 138A) — establishing IRAS as the “Authority”.
- COVID-19 (Temporary Measures) (Rental and Related Measures) Regulations 2020 (G.N. No. S 664/2020) — the “Rental Relief Regulations”, referenced for determinations and procedures relevant to the crystallisation date.
Source Documents
This article provides an overview of the COVID-19 (Temporary Measures) (Transfer of Benefit of Property Tax Remission) Regulations 2020 for legal research and educational purposes. It does not constitute legal advice. Readers should consult the official text for authoritative provisions.